QUESTION 18 0.8 po A company issues $25,000,000, 7.6%, 20-year bonds to yield 8% on January 1, 2020. Interest is paid on June 30 and December 31. The proceeds from the bonds are $24,505,180. Using effective interest amortization, how much interest expense will be recognized in 2020? a. $980,207 b. $1,960,250 OC. $1,960,815 od. $1,961,623 QUESTION 19 0.8 pol On March 1, 2018, Ruiz Corporation issued $2,000,000 of 8% nonconvertible bonds at 104, which are due on February 28, 2038. In addition, each $1,000 bond was issued with 25 detachable stock warrants, each of which entitled the bondholder to purchase for $50 one share of Ruiz common stock, par value $25. The bonds without the warrants would normally sell at 95. On March 1, 2018, the fair value of Ruiz's common stock was $40 per share and the fair value of the warrants was $2.00. What amount should Ruiz record on March 1, 2018 as book value of bond payable? a. 51,900,000 b. 51,925,200 OC. $1.972,000 d. 51,976,000